Home insurance in Tennessee costs about $257 monthly, or $3,085 annually on average. Tennessee homeowners pay $37 more per month, or $450 more annually, than the national average, making it the 12th most expensive state for home insurance.
Average Home Insurance Cost in Tennessee
Updated: May 29, 2025
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Rates updated:
Jun 06, 2025
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Key Takeaways
Depending on your financial history, home details and other personal information, home insurance costs in Tennessee can range from $2,122 to $47,529.
Tennessee's home insurance premiums are the 12th most expensive in the country, at 17% over the national average.
To find the best home insurance in Tennessee, determine your coverage needs, research providers and costs, and gather multiple quotes.
How Much Is Home Insurance in Tennessee?
| Tennessee Average | $257 | $3,085 | 17% |
| National Average | $220 | $2,635 | 0% |
*These rates represent a home built in 2000 out of frame with $250K Dwelling, $125K Personal Property, and $200K Liability coverage with a $1,000 deductible.
Average Home Insurance Cost by City
Depending on your city, various risk factors, including your property’s age, weather-related factors and home valuations, change drastically, affecting home insurance costs. For example, the average monthly home insurance cost in Chattanooga is around $236; in Memphis, it’s much higher at $289.
| Chattanooga | $236 | $2,829 |
| Clarksville | $227 | $2,724 |
| Hendersonville | $214 | $2,570 |
| Knoxville | $191 | $2,288 |
| Memphis | $289 | $3,468 |
| Murfreesboro | $243 | $2,917 |
| Nashville-Davidson | $229 | $2,752 |
*These rates represent a home built in 2000 out of frame with $250K Dwelling, $125K Personal Property, and $200K Liability coverage with a $1,000 deductible.
Why Is Home Insurance so Expensive in Tennessee?
Home insurance is expensive in Tennessee mainly because of the increasing number of claims, the high risk of severe weather and natural disasters, rising material and labor costs and state insurance laws. Below, we explain each factor in detail:
Rising Claims
Higher claim frequencies signify more payouts for insurers, which often leads to increased home insurance premiums. Insurers must adjust rates to maintain profitability and cover the costs associated with a rise in claims.
High Weather Risks
Areas with frequent severe weather, such as hurricanes or wildfires, pose higher risks for damage. Insurers raise premiums to account for the increased likelihood of costly claims resulting from these weather events.
Rising Material and Labor Costs
When the costs of construction materials and labor rise, home repairs become more expensive. This increase is reflected in home insurance rates, as insurers need to cover the higher costs of rebuilding or repairing homes.
State Insurance Laws
State-specific insurance regulations can affect home insurance costs. Mandates on coverage requirements or imposed rate changes can lead insurers to adjust premiums to comply with the legal framework.
What Affects Tennessee Home Insurance Costs?
Like for most home insurance companies, regardless of state, pricing is mostly affected by these factors:
- Location
- Coverage chosen
- Home build details
- Provider chosen
- Credit
- Claims history
Below, we'll highlight how much each factor affects rates specific to Tennessee for each of these major factors.
How Much Does Location Affect Home Insurance Costs?
Location is the biggest factor affecting home insurance rates in Tennessee, with rates varying by up to 28.89%. Weather risks, home value and population density in your area play a major role in determining costs.
| Lowest | Knoxville | $214 | $2,563 |
| Highest | Memphis | $336 | $4,029 |
How Much Does Coverage Affect Home Insurance Costs?
Coverage choices are the second most influential factor in Tennessee home insurance rates, averaging from $1,495 to $9,812 per year. Higher coverage limits and lower deductibles increase premiums, while lower limits and higher deductibles reduce costs.
| Lowest | $100K Dwelling / $50K Personal Property / $100K Liability | 2000 | $125 | $1,495 |
| Highest | $1MM Dwelling / $500K Personal Property / $1MM Liability | 500 | $818 | $9,812 |
How Much Do Home Details Affect Home Insurance Costs?
Home details like age, construction materials and roof type are the third most influential factor in Tennessee homeowners insurance rates, averaging from $109 to $274 per month. These factors affect replacement costs and the risk of damage or theft, leading to rate differences.
| Lowest | New | Superior | Composition | $109 | $1,304 |
| Highest | Old | Frame | Shake-Treated | $274 | $3,289 |
How Much Does the Provider You Choose Affect Home Insurance Costs?
Your choice of insurer is the fourth most influential factor in Tennessee home insurance rates, with prices ranging from 34% below to 104% above the state average.
| Lowest | USAA | $162 | $1,942 |
| Highest | Travelers | $499 | $5,992 |
How Much Does Credit Affect Home Insurance Costs?
A higher credit score makes you appear more reliable, which can lower your home insurance costs. Premiums vary by up to 141%, with annual average rates ranging from $1,810 to $16,379.
| Lowest | Excellent | $151 | $1,810 |
| Highest | Poor | $1,365 | $16,379 |
How Much Does Claims History Affect Home Insurance Costs?
Filing more claims will increase your perceived risk for insurers, which can increase premiums, although in Tennessee, claims history has a smaller impact on cost than other factors. We found that depending on your claims history, rates can be affected by up to 11% or $707 annually.
| Lowest | Claim free for 5+ years | $245 | $2,942 |
| Highest | 2 claims in past 5 years | $304 | $3,649 |
Tips to Save on Tennessee Home Insurance
With high home insurance costs in Tennessee, finding ways to save on premiums is essential, whether buying a home or reducing expenses for your current one. Below are tips to help you secure the best and cheapest home insurance in Tennessee tailored to your needs.
- 1
Find How Much Coverage You Need Beforehand
Determining how much home insurance you need before buying allows you to frame how you search for coverage and avoid being oversold by agents. In addition to standard coverage options, consider if you need add-ons to protect any additional items you own. Learn more about determining how much home insurance you need and explore the standard coverage options available.
- 2
Research Costs and Discounts Beforehand
To ensure you're getting a competitive deal, familiarize yourself with the average costs for you and your home. Additionally, inquire about all available home insurance discounts, as some insurers only apply certain reductions if you request them. Check out the average costs for you to get started.
- 3
Compare Multiple Providers Through Different Avenues
Review multiple insurers to find the best coverage that aligns with your needs. Use various methods such as online comparison tools, brokers, provider websites, and agents, as quotes can differ substantially across these channels.
- 4
Consider Bundling Policies
Bundling policies can lead to significant savings. For example, combining home and auto insurance in your area can save you a notable percentage on home insurance and some dollars annually on both policies. Discover more about combining home and auto insurance in your area.
- 5
Reduce Your Personal Risk Profile
To lower premiums, consider making improvements to your home, such as adding storm shutters or installing security systems. Enhancing your credit score can also significantly decrease premiums. For instance, moving from a fair to a good credit score can yield an average savings of 28%.
- 6
See if You Are Eligible for State Programs
Check whether you qualify for local assistance programs if traditional insurers deny you home coverage. Some regions offer special policies to ensure compliance with mortgage requirements, even though these plans might not offer the same level of coverage as standard policies.
Tennessee Home Insurance Calculator: Bottom Line
Home insurance costs vary, mainly due to location and coverage level. For affordable rates, research your needs and check average costs. Try our estimate tool for top deals.
Homeowners Calculator Insurance Tennessee: FAQ
The cost of homeowners' insurance in Tennessee depends on several factors. MoneyGeek helps you estimate your expenses by answering common questions about insurance in this state.
How much does homeowners insurance cost in Tennessee?
Tennessee's average monthly home insurance cost is $257 for a dwelling coverage of $250K. However, your rate will depend on factors like your credit score, liability and property coverage limits, and deductible.
How do I know how much dwelling coverage to get?
Homeowners can estimate their required dwelling coverage by calculating the cost to replace their home after damage, often with help from an appraiser. While this study uses a baseline coverage of $250K, you can use the MoneyGeek homeowners insurance calculator to find the best coverage limit for your needs.
What factors affect home insurance costs the most?
The biggest factors affecting home insurance costs are your location, chosen coverage level, and provider. Your credit score and home details also play a crucial role.
How We Determined Our Tennessee Home Insurance Estimates
When determining the average cost of home insurance in Tennessee, we used a base profile for a simple estimate consistent with the following:
- $250,000 dwelling coverage
- $125,000 personal property coverage
- $200,000 liability coverage
- Home Built Year: 2000
- Construction type: Frame
- Roof type: Composition
- $1,000 deductible
- No claims in the past 5+ years
- Fire protection level of 3
However, rates will vary widely depending on factors such as coverage level, provider chosen, the age of the home, other features of the home, insured credit and claims history, among other factors. All other combinations presented in this article assume the home was built in 2000.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.